2 Defence stocks surge nearly 5% after net profits grow up to 111% in Q3

Synopsis: Two defence-linked companies surged after robust Q3 results, supported by strong revenue growth, improved year-on-year profitability, and positive investor sentiment in the defence manufacturing space.

Defence stocks were in focus today as select companies posted robust Q3 FY26 earnings, driven by strong revenue growth and healthy year-on-year profit expansion. Improved execution, rising defence orders, and sustained demand for indigenous technologies lifted investor confidence, pushing these stocks higher during the trading session despite mixed quarterly trends. Here are the two stocks in focus after Q3 results

Axiscades Technologies Ltd

Axiscades Technologies Limited (ACTL) is a publicly listed company in India with a focus on Aerospace, Defence, and ESAI (Electronics, Semiconductors, and Artificial Intelligence ). ACTL has offices across the globe. Mistral Solutions Pvt Ltd is its subsidiary with a focus on Chip to Product, Box build, and edge computing. Add Solutions is another subsidiary of ACTL based out of Wolfsburg, Germany, with a focus on Thermal management of AI devices and data centres

With a market capitalization of Rs 5,260 crore, Axiscades Technologies Ltd’s shares on Tuesday made a day high of Rs 1,237.30 per share, up by 5 percent from its previous day’s close price of Rs 1,178.40 per share.

QoQ View: The revenue from operations grew by 14.7 percent to Rs 343 crore in Q3 FY26 from Rs 299 crore in Q2 FY26, and EBIDT grew by 33.3 percent to Rs 62.8 crore in Q3 FY26 from Rs 47.1 crore in Q2 FY26. Accompanied by a net profit growth of 19.9 percent to Rs 27.7 crore in Q3 FY26 from Rs 23.1 crore in Q2 FY26, resulting in an EPS of 6.52 in Q3.

YoY View: The revenue from operations grew by 25 percent to Rs 343 crore in Q3 FY26 from Rs 275 crore in Q3 FY25, and EBIDT grew by 55 percent to Rs 62.8 crore in Q3 FY26 from Rs 40.4 crore in Q3 FY25. Accompanied by a net profit growth of 111 percent to Rs 27.7 crore in Q3 FY26 from Rs 14.8 crore in Q2 FY26, resulting in an EPS of 6.52 in Q3 FY26.

Apollo Micro Systems Ltd

Apollo Micro Systems Limited, a 40-year-old pioneer in defence technology, specializes in the design, development, and manufacture of advanced electronic, electro-mechanical, and engineering systems. With multi-domain, multidisciplinary capabilities and robust infrastructure, the company is equipped to build cutting-edge defence technologies and produce them at scale for national strategic needs.  

With a market capitalization of Rs 8,650 crore, Apollo Micro Systems Ltd’s shares on Tuesday made a day high of Rs 256 per share, up by 2.3 percent from its previous day’s close price of Rs 250.15 per share. 

QoQ View: The revenue from operations grew by 12 percent to Rs 252 crore in Q3 FY26 from Rs 225 crore in Q2 FY26, and EBIDT fell by 14.8 percent to Rs 50.4 crore in Q3 FY26 from Rs 59.2 crore in Q2 FY26. Accompanied by a net profit decline of 23.67 percent to Rs 22.9 crore in Q3 FY26 from Rs 30 crore in Q2 FY26, resulting in an EPS of 0.72 in Q3.

YoY View: The revenue from operations grew by 70 percent to Rs 252 crore in Q3 FY26 from Rs 148 crore in Q3 FY25, and EBIDT grew by 33 percent to Rs 50.4 crore in Q3 FY26 from Rs 38 crore in Q3 FY25. Accompanied by a net profit growth of 41 percent to Rs 22.9 crore in Q3 FY26 from Rs 18.2 crore in Q2 FY26, resulting in an EPS 20 percent growth to 0.72 in Q3 FY26.

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